April 18, 2025 /eszoneo/ —
The UK is accelerating the build-out of its energy storage ecosystem, with long-duration incentives, planning approvals, and procurement mechanisms converging to create an investable landscape for grid-scale battery deployment. Policy certainty—such as Ofgem’s new revenue floor mechanism for 8-hour+ storage and the £4 billion APM grid upgrade framework—is unlocking capital and driving project pipelines toward 2030 targets. Against this backdrop, Tata Group’s £750 million financing for a domestic battery plant signals a strategic pivot toward localized supply chains and manufacturing self-sufficiency, as the UK prepares for exponential storage demand in both power and transport sectors.
A unit of Tata Sons Pvt. has signed a E750 million ($990.79 million) loan, to build what could be Britain's largest battery making facility, according to people familiar with the matter. The deal was first reported by Bloomberg on April 17, 2025.
About 15 banks have signed the two-year bridge loan deal this month for Agratas Energy. Storage Solutions Pvt., the people said, who asked not to be identified because the matter is private. The deal is among the three largest foreign currency loans for an Indian company this year.
The two-year loan has been priced at a spread over the Sterling Overnight Index Average, or SONIA, and the deal has been signed but disbursement is ongoing, the people said.
The loan comes as global financial markets whipsaw amid tariff hikes. Foreign-currency loans by Indian borrowers have risen 23% to $6.6 billion year to date compared to the same period last year, according to Bloomberg-compiled data.
An Agratas representative was not immediately available for comment.
Agratas, a wholly owned subsidiary of Tata Sons Pvt., develops battery cells with factories in India and the UK. The factory will be the biggest in the UK and by the early 2030s will contribute almost half of the projected capacity required for the country's automotive sector, the company said in a release last year.
Source: https://www.bloomberg.com/news/articles/2025-04-17/tata-inks-750-million-loan-to-fund-biggest-uk-battery-plant
